Global Alliance for Tax Justice’s regional network member Tax Justice Network Africa (TJNA), based in Nairobi, just won an important legal battle in Kenya: the Kenya High court declared void and unconstitutional the Double Tax Avoidance Agreement (DTAA) between Kenya and Mauritius, granting TJNA’s submission regarding the DTAA constitutionally required ratification process.
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The ruling regarding this DTAA signed in May 2012 is “ground breaking not just for Kenya but other African countries, said Alvin Mosioma, TJNA’s Executive Director. Ut is a first step in the right direction in ensuring proper and wider stakeholder consultations on matters of national interest.”
“This judgment, TJNA adds, validates our call for African countries to review all their tax treaties particularly those signed with tax havens. Evidence has shown that contrary to their objectives, these DTAs have led to double non-taxation and resulted to massive revenue leakage for African countries. The ruling further underscores our position that DTAs signed with tax havens have been avenues of tax avoidance practices denying African countries the much sought-after revenues to finance development”.
You can find the ruling here and more information on Tax Justice in Africa on TJNA’s new website!